As part of its scoping study unveiled last week, Lemur said it aimed to produce 21 million tonnes run of mine over a 19-year mine life for an average cost of $US89 per tonne.

For an estimated capital expenditure of $12 million, the phase 1 open cut plans are expected to last nine years.

However, a proposed independent power producer customer is yet to be secured but Lemur did flag the possibility of developing its own coal-fired power station near the project.

Stage 2 plans involve developing an underground mining operation for an estimated capex of $84 million and 10-year mine life.

At this stage the project aims to produce an export quality thermal coal to be trucked to and exported through the port of Tulear 150km away.

The project has 123Mt of resources with 91% being in the measured and indicated categories.

Meanwhile, Bushveld’s off-market and hostile takeover offer for Lemur received approval from 27.27% of Lemur’s shareholders in early August, including a 16.88% slice held by Coal of Africa.

The offer was extended last week, with Lemur warning today that Bushveld will consider delisting Lemur from the ASX.

Bushveld held a 15.42% relevant interest in Lemur as of August 1.